What a crazy few sessions the market has had over the last couple of weeks!

The market’s acted like a roller coaster … but there still have been stocks out there that ignored what was going on around them for the most part. In fact, let’s take a look at a trade idea on a relatively strong stock that pulled back some but now looks like it wants to continue its bullish ways: Boeing (BA).

It seems like Boeing has been in the news almost everyday for the last couple of months. The problems with its Dreamliners have been well-documented. Now that they are back in the air again, the stock has been taking off too. Boeing is also working on a project that could reduce emissions and noise for airplanes. If this project takes off just like their Dreamliners, the sky might be the limit.

The stock is currently trading for $102.49. A great trade is to buy the July 105 calls for $1.95 or less.

The long call is probably the most basic strategy in options and is used for a bullish outlook on the underlying stock. For this trade to profit, the stock needs to gain value and the call premium needs to increase to an amount more than was paid.

Maximum profit is theoretically unlimited because Boeing can continue to rise, and the maximum loss is $1.95 — whatever was paid for the option if BA finishes below $105 at July expiration. Breakeven is $106.95 at expiration based on a cost of $1.95.     

Click to Enlarge Researching the chart, it shows that the stock has risen about 26% over the last three months. Over the last two weeks, the stock’s had a resistance area it has not been able to close above: $101.

That changed on Friday, though, when the stock closed well above it. Boeing may retest the old resistance — which is now support — before moving higher, but it appears to be in good shape.

You may want to fasten your seatbelts just in case there are a few bumps along the way, but this stock looks ready to soar.

At the time of expiration, Kmiecik had no positions in the securities mentioned.